VIDEO: Can I buy a property from family with no deposit?

Today Sam Mason is talking about buying property from a family member.  If they’re willing to offer you a discount, do you need a deposit?


View this post on Instagram


A post shared by Mortgage Medics (@mortgage.medics)

Transcript / Summary:  There is a way that you can buy a property without any of your own deposit at all – it’s called a concessionary purchase.

Let’s say you’ve got a family member that has a few properties, and they’re willing to sell one of them to you at a discount rate. In this example, lets use £300K as the market value of the property, and £225K as the amount you’re going to pay for it – you’d get a 75% mortgage of £225K, the difference between £225K and £300K is equity that will form as some or all of your deposit. So, in this scenario, you may not need to put any of your own cash in to the property.

This can be a great way to get on the property ladder if you’re in this situation. Not all lenders will offer this scheme and most will have particular rules to be eligible, for example there may be a minimum discounted percentage from the market value of the property to qualify for this type of mortgage.

You might be surprised to know that there are a number of ways it might be possible to purchase a property without a deposit, with some being quite complex.

If this has got you thinking, we’d be delighted to help.  Get in touch and we’ll talk you through your options, or sign up to our monthly newsletter, to keep your finger on the pulse. 


Sam Mason – 12th December 2022